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Blue Cross of California provides the latest evidence that trial lawyers serve as a valuable line of protection for the average citizen faced with insurance company misconduct. Tort Deform has the story – here are some excerpts:

Do You Have a Blue Cross Scorched Earth Policy?

For some time I have been following the corrupt business practices of Blue Cross of California and writing about what I discover on Daily Kos.

The sordid Blue Cross history involves a retroactive review department which is tasked with terminating the health insurance coverage of certain enrollees who become ill and file claims.

Recently the Los Angeles Times reported that among California insurers, Blue Cross of California spends the lowest percentage of its revenue on patients and patient care.

Why am I writing about insurance company atrocities on Tort Deform?

Here’s why. The Blue Cross rampage is continuing. All that stands between this predatory company and some deeply aggrieved citizens whose only mistake was to get sick and file a claim, are a few heroic and civic minded lawyers.

Insurance companies know that insurance regulation is very weak.

Insurance companies know there is no federal regulation.

The industry took care of that 60 years ago when it pushed through Congress the McCarran-Ferguson Act, which outlawed federal regulation of insurance.

State regulation of insurance ranges from bad to worse.

The only viable deterrence to wrongdoing of any kind are a handful of lawyers who specialize in suing insurance companies for bad faith insurance.

Bad faith insurance is where an insurance company willfully denies legitimate claims. This appears to be the Blue Cross business model.

Unfortunately, the Blue Cross outrages are multiplying like a California wildfire. Blue Cross is on a coverage pulling spree.

They are not in business to protect you when you become ill. They are in business to provide profits to Wall Street and a revenue stream to shareholders.

To make matters worse, Mr. Bush, the insurance industry and its lobbyists, are engaged is a skillful manipulation of the facts. Their goal is to convince the American people that the reason health care costs are skyrocketing is because of those damn “trial lawyers” and the frivolous lawsuits they file.

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